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Alberta, Ottawa agree to one-year child-care funding extension amid COVID-19 pandemic

A 2020 file photo of a child care centre in Tacoma, Wash.
A 2020 file photo of a child care centre in Tacoma, Wash. AP Photo/Ted S. Warren

The federal Liberals and Alberta’s United Conservatives have agreed on a one-year extension to child-care funding that will also help offset costs related to the COVID-19 pandemic.

For Alberta, the one-year deal will mean more than $45 million this fiscal year to create new licensed child-care spaces through capital and program grants and subsidies for more lower-income families.

Read more: Alberta daycares continue to navigate pandemic as restrictions ease

The provincial government is also planning to use the money for training and help offset costs for centres associated with COVID-19 closures and reopening to help programs remain financially viable.

The money is part of a 10-year, $7-billion funding pledge the Trudeau Liberals unveiled in 2017 — not the $625-million, eight-month pledge the Liberals have made under a “safe restart” agreement with provinces.

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Funding to provinces flows through one-on-one agreements that originally lasted three years, worth about $1.2 billion in federal funding.

Click to play video 'More funding, support needed for Alberta child care centres amid pandemic: education organization' More funding, support needed for Alberta child care centres amid pandemic: education organization
More funding, support needed for Alberta child care centres amid pandemic: education organization – May 15, 2020

Both levels of government planned to signed renewed deals this year, but that was before the pandemic struck.

All parties agreed to roll over the funding for another year to buy more time for longer-term deals, meaning Ottawa would ship about $400 million to provinces this fiscal year.

Read more: Alberta to start consultations to improve child care while also removing red tape

Social Development Minister Ahmed Hussen is scheduled to make an announcement Friday morning in Ottawa about the “safe restart” money.